Employment and Income

Einkommen und Beschäftigung matttilda FotoliaPeople can accept inequality more readily when everyone has the chance to better themselves by dint of their own efforts. But here Germany has a problem. Too many members of lower income groups – most of them unemployed – fail to improve their position. In any country governed by the principle: ”Once poor, always poor”, there will be growing dissatisfaction with the economic system and increasing pressure for redistribution of wealth. Since taking up employment is the best way to advancement and a better standard of living, it is important to make access to paid work as easy as possible.

 

 

Those with advanced qualifications have the best chances on the labour market. As the economy changes companies need more and more highly qualified staff. Compared with other nations, Germans are relatively well educated. However, skilled workers with the highly prized scientific and technical background are in particularly short supply. Many young people are set on the wrong course in early childhood and schools often fail to bring them up to the level of education necessary for professional training.

 

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IW-Newsletter
No. 1 from April 18, 2011
Gender Pay Gap: Education and Work Experience Matter More Than Gender
 In 2008, the difference in gross hourly wages between employed men and women amounted to roughly 29 percent on average.
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IW-Newsletter
No. 1 from January 4, 2010
Income Mobility in Germany: Employment and Qualification Count Most
Income mobility is defined as the changes in the relative income position of an individual in the income ranking. The distribution debate particularly focuses on the upward mobility of individuals at the lower end.
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IW-Newsletter
No. 4 from July 8, 2010
Wage Policies between 2000 and 2009: An Informal Pact to Secure Employment
 Ten years ago Germany’s social partners and the government agreed on employment-oriented wage policies.
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IW-Newsletter
No. 4 from July 8, 2010
Flexible Employment in Germany: Stepping Stone and Risk
Conventional wisdom tells us that flexible employment schemes increase at the cost of so-called standard employment.
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IW-Newsletter
No. 2 from June 11, 2008
The Gender Wage Gap: A Challenge for Family Policies
In 2006, the difference in hourly wages between female and male employees amounted to a gender wage gap of 28 percent. Such a naive comparison neglects, however, the differences between men and women in regard to occupation, skill-level and industry in which they work.
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